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Markup and Tax Remittance

Answered
Henry Frishman
We are currently in the middle of implementing passing marked up prices and tax remittance from third party delivery service orders to Toast, and it appears our intended method of doing this isn’t supported by Toast. Our intention was to do the following:
  • Pass the marked up amount within the ‘externalPriceAmount’ field within an item
  • In order to indicate tax is remitted, mark the ‘facilitatorCollectAndRemitTaxOrder’ field as true on the ‘MarketplaceFacilitatorTaxInfo’ object
The API claims, as outlined on this page, that if the ‘facilitatorCollectAndRemitTaxOrder’ field is marked as true, we cannot pass a value into the ‘externalPriceAmount’ field. How would you suggest we go about passing in the information we need?
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Comments

7 comments

Date Votes
  • Liz Jackson

    Hi Henry Frishman,

    Thanks for reaching out! I'm following up with our product team about this and will get back to you.

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  • Liz Jackson

    Hi Henry Frishman,

    Thanks for your patience. Marketplace facilitator functionality is intended for organizations who remit taxes to the state on behalf of restaurants. Does Paytronix do this tax remittance, or are restaurants responsible for remitting their own taxes from Paytronix orders?

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  • Henry Frishman

    Hi Liz,

    Sorry for the late response- I've been on vacation.

    So we are implementing remitting taxes for when we receive orders from third-party marketplaces such as DoorDash or Ubereats; those services tell us whether they've remitted the tax. We are then hoping to relay that information to Toast using the 'facilitatorCollectAndRemitTaxOrder' field.

    When restaurants using our software use it to publish to third-party marketplaces, they often choose to mark up the prices by a small percentage to account for the money DoorDash/Ubereats/etc takes from the order. In order to display these marked up prices accurately in Toast we were hoping to pass the difference between the original price and the marked up price into the 'externalPriceAmount' field.

    The API states we can't use the two fields I've highlighted in conjunction with each other. How would you suggest I go about implementing this? Thank you!

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  • Liz Jackson

    Hi Henry Frishman,

    Thanks for your patience while I followed up internally about your request. Unfortunately we are only able to grant the marketplace facilitator scope to organizations who are legally considered marketplace facilitators, because these partners assume the liability associated with actually remitting the taxes on behalf of our restaurant customers.

    We'll let you know if there are changes in this area in the future. In the meantime, I'll speak with our product team to see if there are feature requests we can document to improve the experience of customers who use partners that receive MPF orders from external sources (such as a DoorDash order going through Paytronix).

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  • Henry Frishman

    Hi Liz Jackson,

    Thank you for your response. So as of now we still need to implement this functionality in some way. Would you suggest any other way, either based on what you know or what you've seen other users do, to implement passing a different tax value to Toast (either 0 if remitted, or more than what would be normally calculated if prices are marked up)?

    Additionally, although we can't use the 'facilitatorCollectAndRemitTaxOrder' field, will the 'externalPriceAmount' field work in order to convey with the marked up prices we receive from external sources? Thank you!

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  • Liz Jackson

    Hi Henry Frishman,

    Just want you to know we haven't forgotten about your question. We're reviewing it with our legal team to be sure we recommend the right strategy and will let you know when we have additional information.

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  • Liz Jackson

    Created a ticket to discuss in more depth.

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